# EUR-Lex - 52013PC0429 - EN

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# 52013PC0429

**Proposal for a COUNCIL DECISION laying down rules and procedures to enable the participation of Greenland in the Kimberley Process certification scheme /* COM/2013/0429 final - 2013/0201 (CNS) */**

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EXPLANATORY MEMORANDUM

1.           CONTEXT OF THE PROPOSAL

This proposal aims at enabling Greenland to participate in the Kimberley Process certification scheme on rough diamonds
through its cooperation with the European Union. The scheme set out in the
proposal would allow for the export of rough diamonds from Greenland to the
Union as well as to other participants of the certification scheme, provided
that all imports and exports of rough diamonds are verified and, for exports,
certified by Union authorities pursuant to the rules set out in Regulation (EC)
No 2368/2002 implementing the Kimberley Process certification scheme for the
international trade in rough diamonds.

This association would strengthen economic
relations between the European Union and Greenland in the diamond industry, and
in particular it would enable Greenland to export rough diamonds accompanied by
the European Union Certificate issued for the purposes of the certification
scheme, with a view of promoting the economic development of Greenland.

2.           RESULTS OF CONSULTATIONS
WITH THE INTERESTED PARTIES AND IMPACT ASSESSMENTS

Greenland and Denmark have agreed to the
approach taken by the proposal and will undertake to transpose and implement in
the legislation applicable to Greenland the relevant provisions of Regulation
(EC) No 2368/2002 as regards the conditions and formalities for importing and
exporting rough diamonds, their transit via the Union and to a participant
other than the Union, the participation of the Union, including Greenland, in the
Kimberley Process certification scheme, obligations relating to due diligence,
anti-circumvention, exchange of information, and ensuring compliance with such
provisions.

3.           LEGAL ELEMENTS OF THE
PROPOSAL

The legal basis of the Council Decision is
Article 203 TFEU. The proposal for this Council Decision is closely connected
to an amendment of Regulation (EC) No 2368/2002 which extends the territory of the
Union to also cover the territory of Greenland for the purposes of the
Kimberley Process certification scheme. Accordingly, Greenland will be
prohibited to accept imports or exports of rough diamonds without a valid
Kimberley Process certificate. This will allow for the export of rough diamonds
from Greenland to third countries as long as they are accompanied by a European
Union Kimberley Process certificate. For imports into Greenland from third
countries the rough diamonds and the accompanying certificate will first have
to be submitted for verification to one of the six authorities of the Union who deal with issuing EU Kimberley Process Certificates.

The proposal for the Council Decision sets
out specific rules for circulation of rough diamonds between the Union and
Greenland, either with the Union or Greenland as destination, or with the view
that rough diamonds would be then exported to a third country from the Union. In
either case, the main requirements for rough diamonds to enter or leave the
territory of Greenland or the Union is to (1) be
accompanied by (a) either a document (or a copy thereof validated by a Union
authority) attesting that they were mined in Greenland, or (b) a copy of a
Kimberley Process certificate as validated by a Union authority, and (2) be in
sealed tamper-resistant containers.

Rough diamonds mined or extracted in
Greenland, provided that they have not been exported previously to a third
country, may enter the Union’s customs territory by the use of an attesting
document issued by authorities in Greenland. These shipments upon entry to the
Union’s customs territory will be have to be verified by a Union authority, and
the copy issued by this authority will have to accompany shipments between the
Union customs territory and Greenland for any subsequent circulation.

As for export of rough diamonds to and from
third countries, Greenland will only be able to import or export if the
diamonds are first shipped to one of the authorities of
the Union to issue an EU Kimberley Process certificate or to verify the
Kimberley Process certificate of another Kimberley Process participant.

Once rough diamonds mined or extracted in
Greenland had been exported to a third country, upon their return they may
circulate between the Union and Greenland according to the same rules that
apply to all other rough diamonds imported into the Union.

2013/0201 (CNS)

Proposal for a

COUNCIL DECISION

laying down rules and procedures to enable
the participation of Greenland in the Kimberley Process certification scheme

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty on the
Functioning of the European Union, and in particular Article 203 thereof,

Having regard to the proposal from the
European Commission,

After transmission of the draft legislative
act to the national Parliaments,

Having regard to the opinion of the
European Parliament[1],

Acting in accordance with a special
legislative procedure,

Whereas:

(1)       The European Union is a participant
in the Kimberley Process Certification Scheme for the international trade in
rough diamonds. As a participant it has to ensure that a Kimberley Process
Certificate accompanies each shipment of rough diamonds imported in or exported
from the territory of the Union.

(2)       Regulation (EC) No
2368/2002 implementing the Kimberley Process certification scheme for the
international trade in rough diamonds[2]
sets up a Union system of certification and import and export controls for
rough diamonds for the purposes of implementing the Kimberley Process
certification scheme.

(3)       Greenland is not part of
the Union territory but it is included in the list of overseas countries and
territories set out in Annex II to the Treaty. In accordance with Article 198
of the Treaty, the purpose of the association of the overseas countries and
territories with the Union is to promote the economic and social development of
the overseas countries and territories and to establish close economic
relations between them and the Union as a whole.

(4)       Denmark and Greenland have
requested to enable the participation of Greenland in the Kimberley Process
Certification Scheme on rough diamonds through its cooperation with the
European Union. This association would strengthen economic relations between
the European Union and Greenland in the diamond industry, and in particular it
would enable Greenland to export rough diamonds accompanied by the European
Union Certificate issued for the purposes of the certification scheme, with a
view of promoting the economic development of Greenland.

(5)       Trade in rough diamonds in
 Greenland should, therefore, be conducted in compliance with Union rules
implementing the Kimberley Process Certification Scheme for the international
trade in rough diamonds. Accordingly, the scope of application of Regulation (EC)
No 2368/2002 will be extended to the territory of Greenland for the purpose of
the certification scheme.

(6)       In particular, Greenland should only export rough diamonds to other participants in the Kimberley Process
Certification Scheme after they have been certified by a Union authority listed
in Annex III to Regulation (EC) No 2368/2002. The imports of rough diamonds
into Greenland should also be verified by the Union authorities.

(7)       In order to permit the
international trade in rough diamonds in Greenland, in accordance with the
rules on trade within the Union, Greenland should undertake to transpose and
implement the relevant provisions of Regulation (EC) No 2368/2002 into the
national law of Greenland so as to allow the application of this Decision,

HAS ADOPTED THIS DECISION:

Article 1

Subject
matter and scope

This Decision sets out
the general rules and conditions for the participation of Greenland in the system of certification and import and export controls for rough
diamonds as set out in Regulation (EC) No 2368/2002. To that end his Decision
lays down rules and procedures for the application of the Kimberley Process
certification scheme for rough diamonds imported into or exported from
Greenland, either to the Union or to other participants in the certification
scheme.

Article 2

Definitions

For the purposes of this Decision, the
following definitions shall apply:

(a)
'Participant' means ‘Participant’ as defined in
Article 2(c) of Regulation (EC) No 2368/2002;

(b)
'Union Authority' means the 'Community authority'
as defined in Article 2(f) of Regulation (EC) No 2368/2002;

(c)
'Union certificate' means the 'Community certificate'
as defined in Article 2 point (g) of Regulation (EC) No 2368/2002.

Article 3

General
rules

1.
Greenland shall ensure that Regulation (EC) No
2368/2002 is transposed and implemented in the legislative provisions
applicable to Greenland as regards the conditions and formalities for importing
and exporting rough diamonds, their transit through the Union from and to a
participant other than the Union, the participation of the Union, including
Greenland, in the Kimberley Process certification scheme, obligations relating
to due diligence, anti-circumvention, exchange of information, and ensuring
compliance with such provisions.

2.
Greenland shall
designate the authorities responsible for the implementation of the relevant
provisions of Regulation (EC) No 2368/2002 within their respective territories
and communicate to the Commission the designation and the contact details of
such authorities.

Article 4

Import
of rough diamonds mined or extracted in Greenland
into the Union

1.
Rough diamonds mined or extracted in Greenland
may only be imported into the Union where:

(a)
they are accompanied by the attesting document
referred to in paragraph 2;

(b)
they are contained in tamper-resistant containers and the seals applied
at export are not broken;

(c)
the attesting document clearly identifies the
consignment to which it refers;

(d)
the rough diamonds have not been previously
exported to a participant other than the Union.

2.
To allow rough diamonds mined or extracted in
Greenland to be imported into the Union, the competent authority for Greenland listed
in Annex II ('Greenland authority') shall upon request issue an attesting
document conforming to the requirements set out in Annex I.

3.
The Greenland authority shall deliver the
attesting document to the applicant and shall keep a copy for three years for
record-keeping purposes.

4.
Acceptance of a customs declaration for release
for free circulation pursuant to Council Regulation (EEC) No 2913/92[3] of rough diamonds referred to
in paragraph 1 shall be subject to the verification by a Union authority listed
in Annex III to Regulation (EC) No 2368/2002 ('Union authority') of the
attesting document issued in accordance with paragraph 2 of this Article. To
this effect, containers of rough diamonds mined of extracted in Greenland on
import to the Union shall without delay be submitted for verification together
to an appropriate Union authority.

5.
If a Union authority establishes that the
conditions in paragraph 1 are fulfilled, it shall confirm this on the original attesting
document and provide the importer with an authenticated and forgery-resistant
copy of that attesting document. This confirmation procedure shall take place
within 10 working days of the submission of the attesting document.

6.
The Member State where rough diamonds are
imported from Greenland shall ensure their submission to the appropriate Union
authority. The exporter shall be responsible for the proper movement of the
rough diamonds and the costs thereof.

7.
In case of doubts relating to the authenticity
or correctness of an attesting document issued in accordance with paragraph 2
as well as when further advice is required, the customs authorities shall
contact the Greenland authority.

8.
The Union authority shall keep the originals of
attesting documents provided for under paragraph 2 submitted for verification
for at least three years. It shall provide the Commission or persons or bodies
designated by the Commission with access to these original attesting documents
in particular with a view to answering questions raised within the framework of
the Kimberley Process certification scheme.

Article 5

Any
subsequent imports of rough diamonds mined or extracted in Greenland
into the Union

Notwithstanding the provisions of Article
4, rough diamonds mined or extracted in Greenland may be imported into the Union where:

(a)
they were previously
lawfully re-exported from the Union to Greenland;

(b)
they are accompanied by an
authenticated and forgery-resistant copy of the attesting document referred to
in Article 4(2) as validated by a Union authority pursuant to Article 4(5).

(c)
they are contained in
tamper-resistant containers and the seals applied at export are not broken;

(d)
the attesting document
clearly identifies the consignment to which it refers;

(e)
the rough diamonds have not
been previously exported to a participant other than the Union.

Article 6

Other
imports of rough diamonds from Greenland
into the Union

Notwithstanding the provisions of Article 4
and 5, rough diamonds from Greenland may be imported into the Union where:

(a)
they were previously lawfully exported from the Union to Greenland;

(b)
they are accompanied by the certificate set out
in Article 9(b);

(c)
they are contained in tamper-resistant
containers, and the seals applied at export by that participant are not broken;

(d)
the certificate clearly identifies the
consignment to which it refers.

Article 7

Export
of rough diamonds from Greenland to other participants

1.
Rough diamonds may only be exported from
Greenland to a participant other than the Union where:

(a)
they were first lawfully imported from Greenland
into the Union in accordance with Articles 4(1), 5 or 6;

(b)
on importation into the Union, they were
submitted for verification to a Union authority;

(c)
they are accompanied by a corresponding Union
certificate issued and validated by a Union authority;

(d)
they are contained in tamper-resistant
containers sealed in accordance with Article 12 of Regulation (EC) No 2368/2002.

2.
The Union authority where the rough diamonds
imported from Greenland into the Union are submitted for verification shall
issue a Union certificate to the exporter of such diamonds in accordance with
Article 12 of Regulation (EC) No 2368/2002.

3.
The Member State where rough diamonds are
imported from Greenland shall ensure their submission to the appropriate Union
authority.

4.
The exporter shall be responsible for the proper
movement of the rough diamonds and the costs thereof.

Article 8

Re-export
of rough diamonds mined or extracted in Greenland from
the Union into Greenland

Rough diamonds mined or extracted in
Greenland, may be re-exported to Greenland from the Union where:

(a)
they were first lawfully imported from Greenland
into the Union in accordance with Articles 4(1), 5 or 6;

(b)
they are accompanied by an authenticated and forgery-resistant copy of the attesting
document referred to in Article 4(2) as validated by a Union authority pursuant
to Article 4(5);

(c)
they are contained in tamper-resistant
containers, and the seals applied at export are not broken;

(d)
the document referred to in point (b) clearly
identifies the consignment to which it refers,

(e)
the rough diamonds have not been previously
exported to a participant other than the Union.

Article 9

Other
import of rough diamonds from other participants into Greenland

Notwithstanding the provisions of Article 8,
rough diamonds may be exported into Greenland from the Union where:

(a)
they were first lawfully
imported into the Union from a participant other than the Union in accordance
with the provisions of Chapter II of Regulation (EC) No 2368/2002;

(b)
they are accompanied by an
authenticated and forgery-resistant copy of the confirmed certificate in
accordance with Article 5(1)(a) of Regulation (EC) No 2368/2002;

(c)
they are contained in
tamper-resistant containers and the seals applied at export are not broken;

(d)
the document referred to in
point (b) clearly identifies the consignment to which it refers.

Article 10

Reporting

1.
The Greenland authority shall provide the Commission with
a monthly report on all attesting documents issued under Article 4(2).

2.
For each attesting document this report shall
list at least:

(a)
the unique serial number of the attesting
document,

(b)
the name of the issuing authority, as listed in
Annex II,

(c)
the date of issue,

(d)
the date of expiry of validity,

(e)
the country of origin,

(f)
the HS code(s),

(g)
the carat weight,

(h)
the value (estimated).

Article 11

This Decision shall enter into force on the
20th day following that of its publication in the Official Journal of the
European Union.

It shall apply from the
day Greenland notifies the Commission that it has implemented
in national law the relevant provisions of Regulation (EC) No 2368/2002 as
amended to allow the inclusion of Greenland in the Kimberley Process
certification scheme.

Done at Brussels,

For
the Council

The
President

ANNEX I

Attesting
document as referred to in Articles 4, 5, 8 and 10

The attesting document referred to in
Articles 4, 5, 8 and 10 shall have at least the following features:

(a)
unique serial number,

(b)
the date of issue,

(c)
the date of expiry of validity,

(d)
the name, signature and stamp of the issuing
authority identified in Annex II,

(e)
the country of origin (Greenland),

(f)
the HS code(s),

(g)
the carat weight,

(h)
the value (estimated),

(i)
identification of the exporter and the recipient.

ANNEX II

Competent
authority for Greenland as referred to in Articles 3(2), 4 and 10

Bureau of Minerals and Petroleum

Imaneq 1A 201, P.O. Box 930, 3900 Nuuk, Greenland

Tel: (+299) 34 68 00 - Fax: (+299) 32 43 02
- E-mail: bmp@nanoq.gl

[1]               OJ C , , p. .

[2]               OJ L 358, 31.12.2002, p. 28.

[3]               OJ L 302, 19.10.1992, p. 1.